No proposal from RBI on crypto trading mechanism yet, Finmin says
The Reserve Bank of India (RBI) has not proposed any mechanism for the trading of crypto assets, Minister of State for Finance Pankaj Chaudhary said in Parliament on March 21.
Replying to a question in the Lok Sabha, Chaudhary said in a written response that the legal framework for the cryptocurrency sector "may be finalised only after all aspects are carefully examined in consultations with stakeholders concerned".
While the Union Budget 2023 proposed a 30 percent tax on profit made from the sale of all crypto assets - with a 1 percent tax deducted at source on all such transactions - the government is yet to take a stand one way or another on the matter.
This is despite the RBI publicly stating on several occasions that cryptocurrencies would never be a legal tender. Senior officials from the central bank have also actively warned against any investment in crypto assets, with Governor Shaktikanta Das famously saying last month that no asset back such currencies, "not even a tulip".
At the India Global Forum earlier this month, Finance Minister Nirmala Sitharaman was asked whether she saw a future for crypto in India. However, she did not directly answer the question, instead evoking laughter with her tongue-in-cheek response that "many Indians have seen a lot of future in it. And therefore I see a possibility of revenue in it".
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